For those thinking the hangover is over, your still drunk, sobering news that does not bode well for the real estate ponzi. This will continue to eat dangerously into the housing bubble. Interesting housing finance up, unemployment going up too.....anyone spot the white elephant? Pop!
After a bubble has burst, no one denies that it existed. But before it does, the popular refrain is that though bubbles existed elsewhere in the world, “there’s no bubble here”. So housing bubbles are admitted to have existed in Japan, the USA, Spain and Ireland – because they’ve already burst.
It's just as well property hoarders don't need a job to buy a few extra houses, they can just tap 'equity' and hock their PPOR to the hilt. A good plan until all the masses of unemployed walk away from their rental properties and they have to make the repayments themselves.
It's just as well property hoarders don't need a job to buy a few extra houses, they can just tap 'equity' and hock their PPOR to the hilt. A good plan until all the masses of unemployed walk away from their rental properties and they have to make the repayments themselves.
I'd more concerned about the hoards of homeless people.
It's just as well property hoarders don't need a job to buy a few extra houses, they can just tap 'equity' and hock their PPOR to the hilt. A good plan until all the masses of unemployed walk away from their rental properties and they have to make the repayments themselves.
Disconnected from society are we?
It makes for a very unhappy life to spew anger at people who have been more successful that you and wishing unemployment on everyone to get back at them is kinda weird don't ya think.
Definition of a doom and gloomer from 1993 The last camp is made up of the doom-and-gloomers. Their slogan is "it's the end of the world as we know it". Right now they are convinced that debt is the evil responsible for all our economic woes and must be eliminated at all cost. Many doom-and-gloomers believe that unprecedented debt levels mean that we are on the precipice of a worse crisis than the Great Depression. The doom-and-gloomers hang on the latest series of negative economic data.
The booms in the early 2000s and in 2009-10 were characterised by high and rising unemployment. The RBA lowered rates in response to give the economy a boost.
I find it hard to understand why you think rising unemployment will have a different effect this time round as the evidence from the market is that it's playing out in the same way as before.
Collecting desperation. Ex-Bp Golly April 2 2015. "I see with a slight overshoot -70% [fall in Sydney house prices] as being well within possibility"
If all the hordes walk away from rental properties, where do they go? Live under a bridge with all the other doomsters?
demand for rentals is elastic - people can move into shares, move home with parents, friends etc.
Once rental prices start creeping up in an attempt to get a decent ROI in combination with worsening jobs figures you'll see this happen.
Brian
10 Sep 2013, 08:56 AM
It's just as well property hoarders don't need a job to buy a few extra houses, they can just tap 'equity' and hock their PPOR to the hilt. A good plan until all the masses of unemployed walk away from their rental properties and they have to make the repayments themselves.
Agreed, it's complete bubble lunacy in Sydney at the moment - my 80 year old parents can borrow millions from the bank to speculate on property because they paid off their reasonably priced PPOR years ago and bought more property that's soared in value.
Banks really don't give a shit about risk any more as recent history shows they've got a guaranteed bailout form the taxpayer should things turn sour.
"It were not best that we should all think alike; it is difference of opinion that makes horse races." - Mark Twain on why he avoids discussing house prices over at MacroBusiness. "Buy land, they're not making any more of it." - Georgist Land Tax proponent Mark Twain laughing in his grave at humourless idiots like skamy that continually use this quip to justify housing bubbles.
For those thinking the hangover is over, your still drunk, sobering news that does not bode well for the real estate ponzi. This will continue to eat dangerously into the housing bubble. Interesting housing finance up, unemployment going up too.....anyone spot the white elephant? Pop!
Oooohhh Timo It's really a mix of positive & negatives , as an investor I know I need to be aware whether the oz economy is going through a rough hiccup...short term or long a period of decline.
Hmmm what's going on with China, the importance of our commodities needs to be considered.
There is always going to be some level of unemployment existing Timo, unless there is boot camps established for the morons who choose to bum off welfare.
I am genuinely concerned & saddened by the manufacturing industry of oz being gutted like a fish
Newjerk? can you try harder than dig up another person's blog. My first promo was with Billabong and my name in English is modified with a T, am Perth born but also lived in Sydney to make my $$ It's Absolutely Fabulous if it includes brilliant locations, & high calibre tenants..what more does one want? Understand the power of the two "P"" or be financially challenged Even better when there is family who are property mad and one is born in some entitlements.....Understand that beautiful women are the exhibitionists we crave attention, whilst hot blooded men are the voyeurs ... A stunning woman can command and takes pleasure in being noticed. Seems not too many understand what it means to hold and own props and get threatened by those who do. Banks are considered to be law abiding and & rather boring places yeah not true . A bank balance sheet will show capital is dwarfed by their liabilities this means when a portions of loans is falling its problems for the bank.
If all the hordes walk away from rental properties, where do they go? Live under a bridge with all the other doomsters?
Why not read a few stories about what's happening in the USA today, you might realize, that as silly as it sounds, people without jobs cannot pay rents and end up living back with parents, or on friends sofas or in their cars, and yes under bridges in some cases. But in Australia the trend is back home with mom and dad.
Shadow was hopelessly wrong about the Gold Bull Market. What else is he wrong about?
Ignore posts by The Whole Truth · View Post · End Ignoring The forum fuckwit goes RRRAAARRRGGHHhhh - But not a fuck was given..................by anyone.
Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.
Forum Rules:
The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.
Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.
Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.
This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.
Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ
Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy
